What is PricewaterhouseCoopers LLP required to communicate to those charged with governance regarding the audit of Circle K?
Circle_K Franchise · 2025 FDDAnswer from 2025 FDD Document
We are required to communicate with those charged with governance regarding, among other matters, the planned scope and timing of the audit, significant audit findings, and certain internal control-related matters that we identified during the audit.
Source: Item 21 — FINANCIAL STATEMENTS (FDD pages 99–100)
What This Means (2025 FDD)
According to Circle K's 2025 Franchise Disclosure Document, PricewaterhouseCoopers LLP, as the independent auditor, has specific communication responsibilities to those charged with governance. These communications include the planned scope and timing of the audit, ensuring that those overseeing the financial reporting process are aware of the audit's extent and schedule. This allows for better coordination and preparation.
Furthermore, PricewaterhouseCoopers LLP is required to communicate significant audit findings. This encompasses any material misstatements detected, weaknesses in internal controls, or disagreements with management. By bringing these issues to the attention of those charged with governance, the auditor promotes transparency and accountability in the financial reporting process.
Lastly, the auditor must communicate certain internal control-related matters identified during the audit. This involves reporting any deficiencies in the company's internal controls that could impact financial reporting. This communication helps those charged with governance to assess and improve the effectiveness of Circle K's internal control systems, ultimately safeguarding the integrity of the financial statements.